IL&FS: NCLAT to provide formula for proceeds' distribution among creditors

Companies under the green category will be those that continue to meet their payment obligations

The National Company Law Appellate Tribunal (NCLAT) on Thursday said it will provide a formula for proceeds distribution among the creditors of debt-ridden IL&FS group firms.

A NCLAT-bench headed by Chairperson Justice S J Mukhopadhaya said its formula would balance the interests of all stakeholders, including creditors.

The tribunal has also asked some of the lenders to file revised framework proposed by the Ministry of Corporate Affairs within a week, stating their position in the resolution of IL&FS group, which has a cumulative debt of over Rs 90,000 crore.

"We are looking at the public interest, what should be done